CORRECTED-Canada's Telus grabs lion's share of new wireless customers

Thu Nov 6, 2014 8:59am EST
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(Removes reference to iPhone exclusive in paragraph 2)

TORONTO Nov 6 (Reuters) - Telus Corp, one of Canada's largest telecommunications companies, posted a 5.4 percent rise in operating revenue as it added an unexpectedly large number of wireless subscribers and its revenue per user rose.

Telus said it signed up 113,000 net contract wireless subscribers, who typically pay more to use high-end smartphones. By comparison, wireless market leader Rogers Communications Inc won just 17,000 such customers in the same period.

The third major national wireless provider, BCE Inc's Bell, is also due to report its quarterly earnings on Thursday.

"Telus reported strong (third quarter) results, but wireless margin was below expectations due to stronger than expected subscriber loading," Canaccord Genuity analyst Dvai Ghose wrote in a note. He expects BCE to add 76,000 postpaid wireless users.

Telus also competes against cable company Shaw Communications Inc for television, phone and Internet customers in Western Canada.

Telus added 23,000 TV customers and 22,000 Internet subscribers in the quarter, helping its landline unit post increased revenue for a second straight quarter despite an industrywide decline in voice telephony demand.

Revenue from the company's wireless business rose 6.6 percent in the third quarter ended Sept. 30, while revenue from its wireline business increased 2.5 percent.

Operating revenue rose to C$3.03 billion from C$2.87 billion, a year earlier.   Continued...